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Commented on IT Consultancy Secrets for Getting Long-Term Clients

April's right.For smaller IT consultancies, a virtual ass't is a really good way to delegate some clerical work without the overhead burdens of a part-time employee.

3 years ago

Commented on Cisco VAR case signals changes to come

Virtually every IT dip has redefined the VAR industry. There's no reason to think that the credit-crunch we're in now will be any different.To avoid being at the mercy of a single channel program, there's one very simple solution. Don't bet your business on a single channel program.And while you're at it, focus on selling some ongoing services so that you're not starting from scratch every month.

3 years ago

Commented on Can your customers still get credit?

Even in good times, it can be very problematic for small VARs to get into the "banking" business by extending credit to clients.Make sure you get a completed credit application AND check the references.Also be sure to get a substantial-sized deposit up-front.And one commonly overlooked solution... you don't have to offer the same terms on high-profit services as you do on low-profit/no-profit product reselling.Having a merchant account, so you can accept credit cards, does wonders to solve many of these problems.The nearsighted call credit card fees a loss of 2-3%. The smart VARs call it a gain of 97-98%... 30-60 days sooner!

3 years ago

Commented on Storage services are a strong area for VARs

It's interesting to find that this is so non-discretionary.It kind of mirrors the self-storage industry, where even people with decent-sized homes can't declutter enough to fit it all in.That's why where there are so many physical self-storage centers.In a weak economy, I'd expect some households at the margin to work harder to declutter to eliminate several-hundred dollars/year in self-storage rental expenses.I wonder if the same thing will happen as department managers feel the heat from internal IT departmental charges for crazy amounts of storage.

3 years ago

Commented on Virtualization market remains strong

Now is a good time for VARs (SP's, consultants, integrators, etc.) that act as outsourced IT support to review their project plans with clients. It's time to prioritize any tasks/projects that will bring rapid ROI.For example, it may be tough to close the sale on a $25,000 project in this environment with small businesses. BUT if that $25,000 project will generate $300,000 in annual overhead savings for that same small business, they'd be really silly not to run with it now.As always, focus on solving THEIR problems and your opportunities won't be far behind. That's why VMWare is doing well. Follow their lead.

3 years ago

Commented on A customer that will never go out of business

One issue that's rarely addressed in IT channel publications... the minimum size requirements (employees, revenue, etc.) for cost-effectively selling directly to Uncle Sam. It's certainly not for everyone.

3 years ago

Commented on Microsoft releases a patch and it’s not Tuesday? Take heed.

Yes, this mid-cycle patch caught my attention too.Kind of like when the Fed adjusts interest rates in between FOMC meetings.

3 years ago

Commented on VARs and social networking

Historically, this kind of networking came about from organizations and events.Within the last 2-3 years, there's been a real explosion of interest in seeing social networking at least supplement some of the traditional relationship marketing (joining chamber of commerce orgs, user groups, civic organizations, lead sharing groups, etc.).We fully expect that most offline organizations will eventually be forced to reinvent themselves, to remain "relevant", by incorporating social networking features in their member Web site areas.

3 years ago

Commented on Judge rules on Cisco reseller lawsuit

These one-sided channel program contracts have existed literally for DECADES! (I probably still have examples of them from different ISVs and IHVs going back to the late 1980's and early 1990's.)It's part of the downside when smaller partners try to engage with an 800-pound industry-dominator.True partnerships only come from partnering with peers and similarly-sized companies.

3 years ago

Commented on Selling consultatively

Dan,You and Vela bring up some excellent points.My bigger question... How do those pursuing managed services as their entire business model avoid the same commodity-broker fate?

3 years ago

Commented on Microsoft Partner Program Finds More Paths to Profit

Hi Joel,What's the early buzz on whether there are disparities between the pricing levels available to smaller partners vs. larger partners?Or are the pricing levels strictly a function of the client size that you're selling into?Thanks for the heads up.

3 years ago

Commented on Vendors are missing the boat by ignoring partner channel programs

Also, many channel execs only pay attention to their larger partners and consider small partners like unwanted step-children. And there are still quite a few channel execs who stil don't get just how fragmented the channel is. One size will never fit all.

3 years ago

Commented on Slacker employees present VAR opportunity

Dan, It's not just a monitoring and access-control issue. The reality is most managers that have employees who abuse company resources like this are asleep at the wheel. If employees have no other mesasures of accountability, productivity, and results other than having their butts physically attached to the base of their office chairs, who's to blame?!? The Office tv sitcom actually tackled this issue a few weeks ago, as a result of Michael Scott's ethics "workshop". Next thing you knew, Jim was following Dwight around with a stopwatch. And Dwight never even left his desk for the men's room.I've always half-jokingly thought that the World should try operating as "consultants" for a week, where they have to account for billable (most productive) vs. non-billable hours (less/lease productive).

3 years ago

Commented on Is the VAR dead?

Dan, One big issue that is about to be driven-home, in a very big way...Selling to new client accounts vs. maintaining existing client accounts on ongoing support agreementsFor those VARs that depended heavily on selling new projects all the time, with little or no recurring revenue, the outlook isn't good.For those VARs that built up a nice base of clients on ongoing monthly recurring service agreement arrangements, the next 3-6 months will be a LOT easier.In these times though, there are some very nice clean-up jobs... that can turn into clients on ongoing monthly recurring service agreement arrangements.As VARs suddenly drop-off the map, what happens to their "orphaned" clients?Be the superhero riding in to save the day, and you'll get some very loyal new clients.Also don't forget... the demise and consolidation in the financial services industry will lead to many out-of-work IT staffers starting their own businesses... many in IT related fields.

3 years ago

Commented on How will the financial meltdown affect IT?

As someone who spent almost 2 years in a corporate IT position at Merrill Lynch in the mid 1990's, I can assure you that at least some of those about to be layed off will inevitably end up launching their own IT consulting companies. But the more basic issue... ROI-focused IT projects are usually the last thing to go. When a $250K software rollout potentially replaces $1M/year in salaries, you'd have to be pretty stubborn to say no.

3 years ago

Commented on Dell's direct managed services pilot

C'mon... does anyone outside of Round Rock really believe that Dell can keep its hands off the SMB space? Dell has such a long history of alternating between playing hardball and "making nice" with the channel. Which bipolar strategy will it be this quarter?!?

3 years ago

Commented on Microsoft hardware rumors

Wouldn't it just be "easier" for Ballmer if Microsoft were to acquire Dell?

3 years ago

Commented on VARs have a big opportunity in the midmarket, according to study

Yes, Dan we've seen the same thing anecdotally in this segment.The problem is...The skill-sets and more complex sales cycle required to engage with the mid-market, where there's an IT department, are SO very different from engaging with the small business segment where the channel partner IS their IT department.Then you have enterprise SP's who scoff at the relatively "small" project sizes down in the mid-market.You almost need to be the "goldilocks" of SP's to get it right.

3 years ago

Commented on What the future holds

As always, ROI is the real driver.If you're pitching a $50K project that'll save your client $150K/year in operating expenses, most rational decision makers have a hard time putting off such a slam-dunk.

3 years ago

Commented on Employment in the channel

It makes perfect sense that the SP/channel would have a labor shortage that runs counter to the overall IT labor market.Remember why many decision makers turn to the channel in the first place...specialized skillsunique problem solving capabilitieslower overall cost structureahead of the curveresourcefulnessetc.

3 years ago

Commented on Cisco combines SMB engineering teams

I think this will end up being a good move both for Cisco and its smaller Linksys-focused partners. It's TOUGH trying to run a successful channel program for very small technology providers.However if you're trying to reach non-technical small business owners without in-house IT, engaging with smaller partners is usually the most cost-effective way to get there.

3 years ago

Commented on Safaricom uses solar, wind energy to reach remote locations

These kinds of solutions are going to be come VERY popular in coming years, even in highly industrialized nations. It's a great niche that's screaming for attention.

3 years ago

Commented on Oracle looks to Utah for green data center

Sooner rather than later, this kind of energy efficiency planning/evaluation will even filter down into the market values for commercial real estate used for data centers. There's BIG savings at stake.Oracle isn't the first major ISV to look at this issue. And it certainly won't be the last.

3 years ago

Commented on 7 survival tips for managing IT in an economic slowdown

These are some good sales tips for computer consulting firms trying to sell reluctant small business decision makers. However I'm not sure you're going to reach your intended audience on a portal like this. Most non-technical small business decision makers rarely frequently IT portals like this. They're a lot more likely to identify with either their industry or their occupation. We cover this in a lot more detail in Computer Consultant Marketing #901 (How to Market Your Computer Consultant Business without Breaking the Bank). That said, I'd highly recommend that you take this article, format it nicely into a whitepaper, and place it behind a highly-completing opt-in form on your Web site. It could be a great lead generator for building a mailing list. Let us know if you need help.

3 years ago

Commented on VARs rethinking services

Many VARs are still doing very well by focusing on providing soup-to-nuts outsourced virtual IT services for local small businesses. It may not be as "sexy" as "managed services" or SAAS. But for small VARs ($250K-$1M), a monthly service agreement for taking on small business virtual IT manager/virtual CIO responsibilities still maintains VERY high margins and account control. The moment you start selling to a small business that doesn't need or value face-time, watch out for low-cost offshoring.

3 years ago